Top Treasury official says debt limit talks have been 'constructive'

A top US economic official said Sunday that talks between congressional staff and the White House have been "constructive" as the US barrels toward a debt limit deadline that could come as soon as June 1.

"The conversations are constructive between all the parties," Deputy Treasury Secretary Wally Adeyemo told CNN's Dana Bash on "State of the Union."

President Joe Biden, he said, "looks forward to getting together with the leaders to talk about how we continue to make progress." Talks between congressional leadership and Biden were canceled on Friday as staff-level talks continued, with additional meetings expected this week.

Biden, however, departs for Hiroshima, Japan, on Wednesday for the G7 summit.

There is still not a clear path forward to avoid a default with just four more days before June 1 when both the House and Senate are scheduled to be in session. But there have been changes in posturing that indicate some progress.

Adeyemo reiterated Sunday that the US "can't" default on its debt but declined to provide details on areas of agreement. He echoed Treasury Secretary Janet Yellen's assessment that default could happen "as early as June 1" but said it "can be sometime in early June," calling on Congress to act as he warned that default would be "catastrophic."

Pressed by Bash on the timing of a deal following House Speaker Kevin McCarthy's call for an agreement in principle by early this week and business leaders like JP Morgan Chase's Jamie Dimon warning of market panic in the absence of a deal, Adeyemo said Biden "believes we should raise the debt limit as soon as possible."